AIDA Governing Board meeting 30 March 2012 DESY

AIDA Governing Board meeting 30 March 2012, DESY Use of resources in Y 1 and distribution of EC pre-financing (2 nd installment) S. Stavrev, CERN Administrative Manager AIDA Governing Board meeting, 30 Mar 2012 1

Content § Flow and payments of EC funding to the Consortium § Use of resources in Y 1 per Work Package § Use of resources in Y 1 per beneficiary § Partners that have spent very little / no resources in Y 1 § Distribution of EC pre-financing – 2 nd installment: proposal to the Governing Board AIDA Governing Board meeting, 30 Mar 2012 2

EC funding for AIDA • Pre-financing = 60 %, of which 5% withheld (for FP 7 Guarantee Fund, to be reimbursed at the end) • Effective pre-financing = 55% of the 8 M€ of which 60% (33% of the total EC funding) was paid to each participant (pro-rata to project share) at the start and the other 40% should be distributed after the 1 st Annual GB meeting • Second EC payment: at M 18 + 2 + 3 (reimbursement of costs for the first Reporting Period) ~ 30% assuming uniform spending profile, (limited by 85% of the 8 M€) • Third EC payment (limited by 85% of the 8 M€): at M 36 + 2 + 3 ~ 0% • Final EC payment (10% + 5%) – after the Final Report is approved 5% EU payments for AIDA 30% 55% M 1 M 3 1 st Reporting Period M 18 M 24 2 nd Reporting Period 0% M 36 M 42 10% 5% M 48 3 rd Reporting Period AIDA Governing Board meeting, 30 Mar 2012 3

Use of resources in Y 1 per WP Normalized full costs (including matching funds and overheads) • WP 3 (under-spending), where the first year was focused on the definition of the programme of work, and most activities will start as of Y 2; • WP 4 (over-spending), where more man-power than foreseen will be used; • WP 7 (over-spending), where more local staff has been necessary. AIDA Governing Board meeting, 30 Mar 2012 4

Use of resources in Y 1 per beneficiary Normalized full costs (including matching funds and overheads) Due EC funding Y 1 = full costs Y 1 * funding rate AIDA Governing Board meeting, 30 Mar 2012 5

Use of resources / EC funding in Y 1 § The Y 1 internal reporting exercise is based on estimated full costs, i. e. any costs covered either by the EC contribution or by the own / matching funds should be included. For example, travel and participation to WP meetings, man-power and salary costs of professors supervising AIDA students (even without time sheets), etc. § All partners have already received 33% of the EC funding, except for the partners with small contribution (< 50 k€ EC) that have received the full pre-financing, i. e. 55%. § Based on the full costs reported in the IRUS annual reports, the EC funding corresponding to the costs incurred in Y 1 has been calculated = full costs Y 1 * funding rate. § A number of partners have used very little (or no) resources in Y 1, hence the corresponding due EC funding is very low (or zero). AIDA Governing Board meeting, 30 Mar 2012 6

EC pre-financing vs. due EC funding Example: OEAW - Total budget 380 k€ - EC contribution 103 k€; funding rate = 27% - Pre-financing already received = 33% = 34 k€ - Full costs incurred in Y 1 = 46 k€ (12%) - EC contribution based on Y 1 full costs = 12. 5 k€ - “Effective funding ratio” = ratio of pre-financing received to the EC contribution based on Y 1 full costs = 2. 75 Þ Arguably in the next 6 months OEAW does not need additional EC funding. AIDA Governing Board meeting, 30 Mar 2012 7

Partners under-spending significantly in Y 1 List of partners with effective funding ratio > 2 Benefic Pre. EC funding Comments iary financing due for Y 1 received Effect of postponed 2 nd pre-financing OEAW 34. 0 k€ 12. 4 k€ 2 nd pre-financing can be withheld Negative INRNE 12. 8 k€ 1. 0 k€ Full pre-financing already paid - IPASCR 23. 4 k€ 11. 0 k€ 2 nd pre-financing can be withheld Negative KFKI 7. 8 k€ 2. 8 k€ Full pre-financing already paid - FOM 50. 1 k€ 8. 3 k€ 2 nd pre-financing can be withheld No issues AIDA Governing Board meeting, 30 Mar 2012 8

Partners under-spending significantly in Y 1 List of partners with effective funding ratio > 2 Benefic Pre. EC funding Comments iary financing due for Y 1 received Effect of postponed 2 nd pre-financing Ui. B 21. 4 k€ 0 k€ (no costs reported) 2 nd pre-financing can be withheld No issues AGH 34. 6 k€ 0 k€ (no costs reported) 2 nd pre-financing can be withheld No issues UU 16. 5 k€ 0 k€ (no costs reported) Full pre-financing already paid - UNIGE 123 k€ 30 k€ 2 nd pre-financing can be withheld No issues AIDA Governing Board meeting, 30 Mar 2012 9

List of partners that have not submitted their financial summaries for Y 1 (effective breach of the Consortium Agreement) Benefici Pre-financing ary received EC funding due for Y 1 Comments STFC 132 k€ n. a. (report not submitted) 2 nd pre-financing can be withheld UNILIV 15. 4 k€ n. a. (report not submitted) Full pre-financing already paid AIDA Governing Board meeting, 30 Mar 2012 10

Proposal to the Governing Board (subject to “electronic” voting) § For FOM, Ui. B, AGH and UNIGE, to withhold the payment of the 2 nd EC pre-financing until the submission of the M 18 IRUS report. Reason: very low (or zero) use of resources in Y 1. § For STFC, to withhold the payment of the 2 nd EC pre-financing until the submission of the M 18 IRUS report. Reason: no financial summary report submitted in Y 1. § Following the submission of the M 18 IRUS reports, the Coordinator (CERN) to pay the due pre-financing to these partners in September / October unless they continue to seriously underspend. § For all other partners, considering the overall progress of the project and the use of resources in Y 1, the Coordinator to proceed a. s. a. p. with the transfer of the 2 nd EC pre-financing. AIDA Governing Board meeting, 30 Mar 2012 11